Eight caught for e-auction fraud

Police arrested five men and three women in an operation today (July 26) against illegal online auction activities. The proceeds of crime amounts to about HK$5 million.

Following to an intelligence base investigation into a suspected e-auction fraud syndicate, Officers of Technology Crime Division (TCD), Commercial Crime Bureau (CCB) arrested the eight suspects, aged between 18 and 47 in connection with a series of e-auction fraud on one of the well-known international e-auction platforms.

Police investigation also revealed that the arrested persons offered to sell some attractive electronic products, and attracted a lot of overseas customers to buy these items.

However, after the victims have paid, the arrested persons repeatedly failed to ship out the goods. Police believed it is an organized crime with no indication of any triad being involved.

During the operation, Police discovered that a number of arrested persons have sold their bank accounts to the syndicate to carry out money-laundering activities.

Police remind the public that money laundering is a serious offence. Once convicted, the maximum penalty is a fine of $5 million and 14 year's imprisonment.

Police also advice people to use the Internet wisely and legally. We wish to provide the following tips to the public on e-auction.

- check the reputation of the e-auction site and their policy to protect their customers and customer's personal data
- know the buyers/ sellers
- If possible, deal with the buyers/ sellers in person.
- If there is any doubt on the identity of the buyers/sellers, don't make payment or ship out the goods.
- Get the details of the sellers/buyers before making payment or sending out the goods.

All the arrested persons are still being detained and CCB investigation is proceeding.


Police Report No. 4
Issued by PPRB

End/Thursday, July 26, 2007.